NYSE$GES

Guess? Inc · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Reported strong third quarter results with revenue and earnings exceeding expectations

Guess?, Inc. reported a strong third quarter with revenues reaching $643 million, a 13% increase compared to the previous year and a 4% increase compared to the pre-pandemic third quarter of fiscal year 2020. The company delivered an operating margin in excess of 10.0%, with EPS of $0.45 and adjusted EPS of $0.62. Due to the better than expected results, the company raised its full-year outlook for operating margin to 11.0% and doubled the quarterly cash dividend from $0.1125 to $0.225 per share.

  • Revenues for the quarter increased 13% versus last year and were up 4% compared to the third quarter of fiscal year 2020, pre-pandemic.
  • Delivered a 10% operating margin in the period, driven by strong gross margin expansion.
  • Board has approved to double our quarterly cash dividend from $0.1125 to $0.225.
  • Company expects to deliver an operating margin of 11.0% in the current year, double that of fiscal 2020, pre-pandemic.

Headline financials

Total Revenue

$643M

Previous: $569M+13.0%
EPS (adj)

$0.62

Previous: $0.58+6.9%
Capital Expenditures

-$40.6M

Previous: -$12.4M-228.4%
Free Cash Flow

-$36M

Previous: $86M-141.9%
Net Income

$29.9M

Previous: $26.4M+13.3%
Operating Income

$65.7M

Previous: $44.5M+47.7%
Gross Profit

$294M

Previous: $240M+22.6%
Cash & Equivalents

$391M

Previous: $365M+7.1%
Total Assets

$2.56B

Previous: $2.38B+7.7%
Stock-Based Comp

$6.21M

Previous: $4.74M+30.9%

Revenue & EPS history

Guess? · Revenue · Quarterly

$643M

Q3 2022+13%vs Q3 2021
Beat estimate in 9 of 16 quarters(56%)
ActualEstimate

Revenue by segment

Guess? · $643M total across 5 segments · Q3 2022

  • Europe
    $331M+2.8%
  • Americas Retail
    $170M+30.1%
  • Americas Wholesale
    $59M+64.0%
  • Asia
    $57.1M-7.8%
  • Licensing
    $26.6M+36.8%

Forward guidance

Company expects revenues in the fourth quarter of fiscal 2022 to be down mid-single digits versus the fourth quarter of fiscal 2020. For the full fiscal year 2022, the company expects revenues to be down low-single digits versus fiscal 2020 and operating margin to reach approximately 11.0%.

Tailwinds

  • Continued momentum in our global e-commerce business.

Headwinds

  • Impact of permanent store closures.
  • Unfavorable shift of European wholesale shipments from the fourth quarter into the first quarter of next year.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 8 quarterly earnings reports

Historical avg

+2.5%

Avg return

Earnings day

+0.3%

Avg return

5 days after

-1.5%

Avg return

30 days after

54%

36 / 67 earnings

Positive

+39.0%

Q4 2020

Best reaction

-32.3%

Q1 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026+0.2%+0.2%-1.7%
Q2 2026+0.2%+0.2%-0.8%
Q1 2026+8.8%+11.1%+16.8%
Q4 2025+9.8%-13.7%+13.5%
Q3 2025-9.1%-9.2%-23.0%
Q2 2025-3.3%-2.3%-5.3%
Q1 2025-0.6%-1.6%-12.9%
Q4 2024+24.5%+17.8%+1.9%
Q3 2024-13.8%
Q2 2024+26.9%
Q1 2024+7.4%
Q4 2023-2.5%
Q3 2023+2.7%
Q2 2023-2.3%
Q1 2023+20.4%
Q4 2022+15.6%
Q3 2022+6.3%
Q2 2022-2.1%
Q1 2022-1.7%
Q4 2021+5.9%
Q3 2021+14.7%
Q2 2021+11.2%
Q1 2021-32.3%
Q4 2020+39.0%
Q3 2020+5.9%
Q2 2020+29.4%
Q1 2020-9.4%
Q4 2019-14.3%
Q3 2019+4.4%
Q2 2019+4.6%
Q1 2019-20.3%
Q4 2018+32.9%
Q3 2018-12.1%
Q2 2018+20.1%
Q1 2018+13.4%
Q4 2017-10.3%
Q3 2017-11.6%
Q2 2017+14.5%
Q1 2017-3.9%
Q4 2016-15.9%
Q3 2016+9.0%
Q2 2016+12.0%
Q1 2016+8.7%
Q4 2015+13.2%
Q3 2015-8.3%
Q2 2015-9.5%
Q1 2015-3.6%
Q4 2014-5.1%
Q3 2014-3.7%
Q2 2014+13.2%
Q1 2014+9.0%
Q4 2013-6.5%
Q3 2013+7.4%
Q2 2013-21.6%
Q1 2013+0.2%
Q4 2012-1.0%
Q3 2012-2.5%
Q1 2011+1.6%
Q2 2012+1.6%
Q1 2012-0.8%
Q4 2009-0.5%
Q4 2011-0.5%
Q3 2011-1.3%
Q3 2010-1.3%
Q2 2011+0.5%
Q4 2010+0.5%
Q2 2010+0.5%

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